They may have a question and ask what the average utility is and I'm very clear that it depends on use but I would always have a cap even if it's 1k to protect yourself if someone likes to live like they're in Antartica during the summertime :)

But personally, sometimes the best strategy is protecting what you've built rather than pushing for more.

And as investors we should know this, but always anticipate higher costs and longer waits.EXAMPLE Breakdown of Costs:Plan Purchase: $1,500Permitting Fees: $2,500-7,500Site Preparation (grading, utilities, foundation): $20,000–$30,000ADUs require separate utility connections for water, electricity, and sewer but you can tap into existing utilities at the primary houseIn Raleigh you CANNOT split lots fee simple, so setting up completely separate utilities would not allow you to section off the ADU as of nowYour ADU must be on a permanent foundation (no wheels, no ability to move the structure)Construction (labor and materials): $100,000–$150,000Low-grade: $150–$180/sq ft averageMid-grade: $180–$220/sq ft averageHigh-end: $220–$250/sq ft averageLandscaping/Finishing Touches: $5,000Total Estimated Cost: $125,000–$200,000You could easily spend $200k+ with super end high finishes, custom designs, complicated sitework, adding a second story or more sqft, etc.

@Jesse Streng Great that you want to invest in the Detroit area but I encourage you to come to the city and spend a weekend here to get a feel for the market.

You're much better off spending that money on a conference like STR Wealth Con or something similar.

I spend extra for the the supply house versions and rarely have issues during warranty period.

There's a lot more compliance, regulations, and other protections that many brokers do not feel comfortable hiring just anyone. 

I know when I was an active Broker my SOP  was get listing open escrow with buyer to be determined and order the preliminary title report prior to spending money on marketing someones property..

Licensing can be such a maze to navigate, but getting it right is key to protecting your projects and investments.

Sure, but again securing $500,000 isn't difficult.That said, liability coverage is lawsuit protection coverage just like it is for you.